Hudson River rail tunnel project has new name, but same concerns over funding

View full sizeTim Sparvero/The Star-LedgerLike ARC, the Gateway project is intended to double rail capacity into Manhattan from New Jersey by constructing two additional rail tubes, with one set of tracks each, under the Hudson River.

HUDSON COUNTY — No sooner had Gov. Chris Christie killed the ARC trans-Hudson commuter rail tunnel than a new tunnel project began to take its place in the consciousness of transit officials, planners, contractors and cramped commuters eager for relief.

This time, however, the so-called Gateway project has what proponents say are several advantages over NJ Transit’s proposed "Access to the Region’s Core" tunnel, including a catchier name, a federal-level sponsor and direct access to New York Penn Station. ARC critics derided the tunnel’s proposed West 34th Street terminus as the stop in "Macy’s basement."

"What should be clear is that nobody, nobody is debating that we need this," said Anthony Coscia, an Amtrak board member from New Jersey, who had supported ARC while he served as chairman of the Port Authority of New York and New Jersey.

What is still far from clear, however, is where the money will come from to fund the Gateway project’s estimated $13 billion to $15 billion cost. Estimates for the ARC project were $9.8 billion to $14 billion when Christie bailed out on it in late 2010, saying New Jersey taxpayers would be unfairly stuck with the tab for overruns. He has not ruled out support for the Gateway plan, which he has said would better serve commuters.

So to boost the general public’s awareness of Gateway, stimulate interest among potential participants and help the project pick up steam in Washington, D.C., Trenton and Albany, proponents hosted what they said was the first forum to bring together representatives of the three rail agencies and others likely to share in its benefits and costs.

Coscia’s remarks capped the morning conference, which was held at the Princeton Club in Manhattan. It was hosted by the Regional Plan Association, a planning and transportation think tank, and the General Contractors Association of New York, whose members stand to work on the Gateway project.

View full sizeTariq Zehawi/The RecordThe so-called ARC tunnel project was killed by Gov. Chris Christie, citing cost reasons. The project is being revived, with a different name: Gateway. Pictured here is preliminary work that was done for the ARC project on Tonnelle Avenue in the Hudson County town of North Bergen.

"Yes, we’re contractors — we build infrastructure," said the association’s managing director, Denise Richardson. "But we also live in the region."

Like ARC, the Gateway project is intended to double rail capacity into Manhattan from New Jersey by constructing two additional rail tubes, with one set of tracks each, under the Hudson River. Other improvements are also planned to Amtrak’s busy Northeast Corridor line between Newark and New York City, and the rail carrier says the tunnel could be completed by 2025.

The area is a bottleneck that hinders Amtrak’s plans for intercity high-speed rail service, and bars NJ Transit from easing congestion for commuters. Funding for the tunnel has been limited to a $15 million federal study grant.

Apart from the tunnel, Gateway also includes smaller projects already moving forward: replacement of the Portal Bridge across the Hackensack River, a century-old span prone to breakdowns that can cause widespread delays; and an expansion of Penn Station into the main branch of the New York City Post office to enhance access to platforms, in an area to be named for the late U.S. Sen. Daniel Patrick Moynihan (D-N.Y.).

Regional Plan Association president Robert Yaro told conference attendees 90 percent of commuter rail passenger growth into New York City in the past two decades has come from New Jersey, when the number of commuters rose from 228,455 in 1990 to 303,656 in 2009.

Jennifer Brown/The Star-LedgerA commuter train passes near the abandoned construction site of what would have been the entrance of the ARC tunnel that is now filled in. This view is from Routes 1&9 looking over the site and above where the tunnel would have gone under the road. The ARC project is being revived, but now has a different name: Gateway.

The conference included separate discussions focusing on components of the Gateway project, its costs and benefits, and how to pay for it. Experts including Tom Rousakis of Goldman Sachs said the tunnel project could attract private investment and might even lend itself to a public-private partnership.

But they stressed the need for strong support by the governors of New York and New Jersey, and some kind of funding pledge from the federal government to spark state and private-sector commitments.

ARC’s cost was supposed to have been shared by New Jersey, the federal Department of Transportation and the Port Authority. In addition to the cost to New Jersey, Christie criticized the project’s lack of access to Penn Station in New York.

State Transportation Commissioner Jim Simpson said there were several pressing matters on the governor’s agenda, including the state budget, but he said he would be fully briefed on Gateway.